|Motto||Educating Taxpayers Since 1937|
|Formation||December 5, 1937|
New York City, New York, U.S.
|Headquarters||1325 G Street NW, Suite 950|
|Scott A. Hodge|
|An aspect of fiscal policy|
The Tax Foundation is a Washington, D.C.-based think tank, founded in 1937, that collects data and publishes research studies on U.S. tax policies at both the federal and state levels.The Foundation's stated mission is to "improve lives through tax policy research and education that leads to greater economic growth and opportunity." The Tax Foundation is organized as a 501(c)(3) tax-exempt non-profit educational and research organization.
Washington, D.C., formally the District of Columbia and commonly referred to as Washington or D.C., is the capital of the United States. Founded after the American Revolution as the seat of government of the newly independent country, Washington was named after George Washington, the first President of the United States and a Founding Father. As the seat of the United States federal government and several international organizations, Washington is an important world political capital. The city is also one of the most visited cities in the world, with more than 20 million tourists annually.
A think tank or policy institute is a research institute/center and organization which performs research and advocacy concerning topics such as social policy, political strategy, economics, military, technology, and culture. Most policy institutes are non-profit organisations, which some countries such as the United States and Canada provide with tax exempt status. Other think tanks are funded by governments, advocacy groups, or corporations, and derive revenue from consulting or research work related to their projects.
The United States of America has separate federal, state, and local governments with taxes imposed at each of these levels. Taxes are levied on income, payroll, property, sales, capital gains, dividends, imports, estates and gifts, as well as various fees. In 2010, taxes collected by federal, state, and municipal governments amounted to 24.8% of GDP. In the OECD, only Chile and Mexico are taxed less as a share of their GDP.
The Tax Foundation was founded in 1937 by a group of prominent businessmen in order to "monitor the tax and spending policies of government agencies". & Figures: How Does Your State Compare, which was first produced in 1941, and its "Tax Freedom Day" brochures, which it has produced since the early 1970s.It is generally critical of tax increases and high taxation. The organization is organized into three primary areas of research, carried out by the Foundation's Center for Federal Tax Policy, the Center for State Tax Policy and the Center for Legal Reform. The group is known for its annual reports such as Facts
Tax Freedom Day is the first day of the year in which a nation as a whole has theoretically earned enough income to pay its taxes. Every dollar that is officially considered income by the government is counted, and every payment to the government that is officially considered a tax is counted. Taxes at all levels of government – local, state and federal – are included.
The Tax Foundation was organized on December 5, 1937 in New York City by Alfred P. Sloan Jr., Chairman of the General Motors Corporation; Donaldson Brown, GM Financial Vice President; William S. Farish, President of Standard Oil Company of New Jersey (Exxon); and Lewis H. Brown, President of Johns-Manville Corporation, who later became the first Chairman of the Board of The Tax Foundation.The stated goal of the organization was "to monitor the tax and spending policies of government agencies". Its offices were located at 50 Rockefeller Plaza and later 30 Rockefeller Plaza.
General Motors Company, commonly referred to as General Motors (GM), is an American multinational corporation headquartered in Detroit that designs, manufactures, markets, and distributes vehicles and vehicle parts, and sells financial services, with global headquarters in Detroit's Renaissance Center. It was originally founded by William C. Durant on September 16, 1908 as a holding company. The company is the largest American automobile manufacturer, and one of the world's largest. As of 2018, General Motors is ranked #10 on the Fortune 500 rankings of the largest United States corporations by total revenue.
Frank Donaldson Brown was a financial executive and corporate director with both DuPont and General Motors Corporation. He graduated from Virginia Tech in 1902 with a Bachelor of Science degree in Electrical Engineering. He did graduate studies in engineering at Cornell University and joined DuPont in 1909 as an explosives salesman.
William Stamps Farish II was a pioneer in East Texas oilfield development, president of Standard Oil and a founding member and president of the American Petroleum Institute. He was a member of the influential Farish family.
The Tax Foundation's first project was a successful effort to stop a tax increase in Westchester County, New York, where they provided research and analysis (including an "Expenditure Survey" of state spending) to local activists.By 1943, the Tax Foundation had helped set up taxpayers associations and expenditure councils in 35 states.
During World War II, Tax Foundation research emphasized restraining government spending domestically to finance wartime expenditures. In 1948, the Tax Foundation opened an office in Washington, D.C., and in 1978 relocated there completely.Its research and analysis has historically emphasized publicizing federal and state financial information, arguing against the use of tax systems for "social engineering," and urging "broad bases and low rates" tax reform.
Beginning in 1990, the Tax Foundation "operate[d] as a separate unit" of Citizens for a Sound Economy.By July 1991, it was again operating as an independent 501(c)(3) organization.
Citizens for a Sound Economy (CSE) (1984–2004) was a conservative political group operating in the United States. It was established in 1984 by Charles and David Koch of Koch Industries. Ron Paul was appointed as the first chairman of the organization. The CSE described itself as "hundreds of thousands of grassroots citizens dedicated to (1) free markets and limited government, and (2) the highest level of personal involvement in public policy activism."
Beginning in 2009, the Tax Foundation's offices were located in the National Press Building in Washington, D.C.In 2015, the organization moved to its current location on G Street.
The Tax Foundation states that its research is guided by what it calls the principles of sound tax policy: simplicity, transparency, neutrality, and stability.
Tax Foundation research is generally critical of tax increases,high business taxes, excise taxes, tax preferences for the housing industry, and use of tax credits (which the Foundation views as "picking winners and losers"). The Foundation has spoken favorably of efforts to balance the federal budget with tax reform and significant spending cuts, such as the Bowles-Simpson plan, the Ryan Plan, and the Wyden-Coats plan.
The Tax Foundation describes itself as an "independent tax policy research organization".They are cited in the media as a nonpartisan or bipartisan organization, and are also described as business-friendly or conservative.
As of 2019, the organization's board of directors consists of David P. Lewis (Chairman), James W. Lintott (Treasurer), Philip English, Dennis Groth, Douglas Holtz-Eakin, Stephen Kranz, Sarah McGill, David Nicholson, Pamela F. Olson, Tom Roesser, and Scott Hodge (Tax Foundation President).
The Tax Foundation accepts grants from foundations, corporations, and individuals. It does not solicit or accept funds from government sources.The Tax Foundation has earned a 3 out of 4 star financial rating and 4 out of 4 star accountability and transparency rating from Charity Navigator.
The Tax Foundation publishes several major studies, including Options for Reforming America’s Tax Code, which details the economic and revenue impact of over 80 potential changes to the U.S. tax code.
The group uses its Taxes and Growth (TAG) macroeconomic model to simulate the effects of tax policies and produce conventional and dynamic estimates of potential changes in revenue, GDP, wages, employment, and the distribution of the federal tax burden.The TAG model is a "neoclassical, comparative-statics economic model coupled with a tax return simulator". The economic model estimates supply of labor and cost of capital based on marginal tax rates calculated by the tax return simulator.
Since 2014, the TAG model has been used to analyze legislative and campaign tax proposals, including the Tax Reform Act of 2014 proposed by Dave Camp, plans put forth during the 2016 presidential campaigns , the House GOP’s 2016 Tax Reform Blueprint , and the Tax Cuts and Jobs Act.
Since 2013, the Tax Foundation has offered guidance to same-sex married couples filing income taxes at the state level, where local laws recognizing same-sex marriage can vary considerably.
Every year, the Tax Foundation calculates and announces Tax Freedom Days in the United States. These studies have been criticized by the Center on Budget and Policy Priorities (CBPP), a progressive think tank, and in turn the Tax Foundation has responded to or criticized CBPP reports.However, the two groups have worked together on analysis of the marriage penalty in the US federal income tax.
In a column for The New York Times blog The Upshot, Josh Barro, a former Tax Foundation employee, criticized the group’s approach to scoring the Rubio-Lee tax plan as producing “implausibly rosy results.”The Tax Foundation published a response to these criticisms, stating that their model results were "in line with analysis done by other mainstream economists for similar tax changes".
In opinion editorials for the New York Times, economist Paul Krugman has characterized the Tax Foundation as "not a reliable source" while criticizing a report by the Tax Foundation comparing corporate tax rates in the United States to those in other countries.Krugman has also accused the Tax Foundation of "deliberate fraud" in connection with a report it issued concerning the American Jobs Act. The Tax Foundation has published various responses to Krugman's criticisms.
Tax reform is the process of changing the way taxes are collected or managed by the government and is usually undertaken to improve tax administration or to provide economic or social benefits. Tax reform can include reducing the level of taxation of all people by the government, making the tax system more progressive or less progressive, or simplifying the tax system and making the system more understandable or more accountable.
Paul Robin Krugman is an American economist who is currently Distinguished Professor of Economics at the Graduate Center of the City University of New York, and a columnist for The New York Times. In 2008, Krugman was awarded the Nobel Memorial Prize in Economic Sciences for his contributions to New Trade Theory and New Economic Geography. The Prize Committee cited Krugman's work explaining the patterns of international trade and the geographic distribution of economic activity, by examining the effects of economies of scale and of consumer preferences for diverse goods and services.
AARP is a United States-based interest group whose stated mission is "to empower people to choose how they live as they age." According to the organization, it had more than 38 million members as of 2018.
Austerity is a political-economic term referring to policies that aim to reduce government budget deficits through spending cuts, tax increases, or a combination of both. Austerity measures are used by governments that find it difficult to pay their debts. The measures are meant to reduce the budget deficit by bringing government revenues closer to expenditures, which is assumed to make the payment of debt easier. Austerity measures also demonstrate a government's fiscal discipline to creditors and credit rating agencies.
Dynamic scoring is a forecasting technique for government revenues, expenditures, and budget deficits that incorporates predictions about the behavior of people and organizations based on changes in fiscal policy, usually tax rates. Dynamic scoring depends on models of the behavior of economic agents which predict how they would react once the tax rate or other policy change goes into effect. This means the uncertainty induced in predictions is greater to the degree that the proposed policy is unlike current policy. Unfortunately, any such model depends heavily on judgment, and there is no evidence that it is more effective or accurate.
Olivier Jean Blanchard is a French economist and professor who is a Senior Fellow at the Peterson Institute for International Economics. He was the chief economist at the International Monetary Fund from September 1, 2008 to September 8, 2015. Blanchard was appointed to the position under the tenure of Dominique Strauss-Kahn; he was succeeded by Maurice Obstfeld. He also is a Robert M. Solow Professor of Economics emeritus at the Massachusetts Institute of Technology (MIT). He is one of the most cited economists in the world, according to IDEAS/RePEc.
The Texas Public Policy Foundation (TPPF) is a conservative think tank based in Austin, Texas. The organization was founded in 1989 by James R. Leininger, who sought intellectual support for his education reform ideas, including public school vouchers. Projects of the organization include Right on Crime, which is focused on criminal justice reform, and Fueling Freedom, which seeks to "explain the forgotten moral case for fossil fuels" by expressing views skeptical of the scientific consensus on climate change.
Citizens for Tax Justice is a Washington, D.C.-based think tank and advocacy group founded in 1979 focusing on tax policies and their impact. CTJ's work focuses primarily on federal tax policy, but also analyzes state and local tax policies. Its stated mission is to "give ordinary people a greater voice in the development of tax laws." CTJ's goals include: "fair taxes for middle and low-income families; requiring the wealthy to pay their fair share; closing corporate tax loopholes; adequately funding important government services; reducing the federal debt; [and promoting] taxation that minimizes distortion of economic markets."
The Center on Budget and Policy Priorities (CBPP) is a progressive American think tank that analyzes the impact of federal and state government budget policies. A 501(c)(3) nonprofit organization, the Center's stated mission is to "conduct research and analysis to help shape public debates over proposed budget and tax policies and to help ensure that policymakers consider the needs of low-income families and individuals in these debates."
Internal Revenue Service (IRS) tax forms are forms used for taxpayers and tax-exempt organizations to report financial information to the Internal Revenue Service of the United States. They are used to report income, calculate taxes to be paid to the federal government, and disclose other information as required by the Internal Revenue Code (IRC). There are over 800 various forms and schedules. Other tax forms in the United States are filed with state and local governments.
Community Change, formerly The Center for Community Change (CCC), is a progressive community organizing group active in the United States. It was founded in 1968 in response to civil rights concerns of the 1960s and to honor Robert F. Kennedy. The organization's stated mission is "to build the power and capacity of low-income people, especially low-income people of color, to change their communities and public policies for the better." Community Change has received funding from the Democracy Alliance and the Tides Advocacy Fund.
Jonathan Holmes Gruber is an American professor of economics at the Massachusetts Institute of Technology, where he has taught since 1992. He is also the director of the Health Care Program at the National Bureau of Economic Research, where he is a research associate. An associate editor of both the Journal of Public Economics and the Journal of Health Economics, Gruber has been heavily involved in crafting public health policy.
Form 990 is a United States Internal Revenue Service form that provides the public with financial information about a nonprofit organization. It is often the only source of such information. It is also used by government agencies to prevent organizations from abusing their tax-exempt status. Certain nonprofits have more comprehensive reporting requirements, such as hospitals and other health care organizations.
The Wikimedia Foundation, Inc. is an American non-profit and charitable organization headquartered in San Francisco, California. It is mostly known for participating in the Wikimedia movement. It owns the internet domain names of most movement projects and hosts sites like Wikipedia. The foundation was founded in 2003 by Jimmy Wales as a way to fund Wikipedia and its sibling projects through non-profit means.
The Patient Protection and Affordable Care Act (PPACA), often shortened to the Affordable Care Act (ACA) or nicknamed Obamacare, is a United States federal statute enacted by the 111th United States Congress and signed into law by President Barack Obama on March 23, 2010. Together with the Health Care and Education Reconciliation Act of 2010 amendment, it represents the U.S. healthcare system's most significant regulatory overhaul and expansion of coverage since the passage of Medicare and Medicaid in 1965.
The State Policy Network (SPN) is an American nonprofit organization that functions primarily as an umbrella organization for a consortium of conservative and libertarian think tanks that focus on state-level policy. The organization serves as a public policy clearinghouse and advises its member think tanks on fundraising, running a nonprofit, and communicating ideas. Founded in 1992, it is headquartered in Arlington, Virginia, with member groups located in all fifty states.
The Maine Heritage Policy Center (MHPC) is a free-market think tank located in Portland, Maine. According to its mission statement, the MHPC is "a research and educational organization whose mission is to formulate and promote conservative public policies based on the principles of free enterprise; limited, constitutional government; individual freedom; and traditional American values–all for the purpose of providing public policy solutions that benefit the people of Maine." The organization has an associated media outlet, The Maine Wire.
The Arkansas Policy Foundation (APF) is a conservative think tank based in Little Rock, Arkansas. According to APF, the organization "emphasizes the importance of tax policy and education reform."
The cabinet of Juha Sipilä was the 74th government of Finland. It was formed following the parliamentary election of 2015 and formally appointed by President Sauli Niinistö on 29 May 2015. Since June 2017, the cabinet has consisted of a coalition formed by the Centre Party, Blue Reform and the National Coalition Party. The cabinet's Prime Minister was Juha Sipilä.
The Charles Koch Institute is a libertarian-oriented public policy research, programming, grant-making, and fellowship-funding organization based in Virginia. Named after Charles Koch, its founder and primary financier, it pursues conservative economic policies and a non-interventionist foreign policy that has been characterized as anti-neoconservative or defensive realist.